A mandate contract is regulated by the Civil Obligations Act in Articles 763 to 784. (Čuveljak 2010.) The mandate contract is a contract „obligating and empowering the mandatary to perform certain acts for the account of the mandator.“ This contract is entered into when the mandator sends his/her unilateral declaration of will, i.e. an offer to the mandatary, and the latter accepts it. The mandate is the basis of a series of legal transactions that have developed due to their special features into the mentioned contracts, such as a commission contract and power of attorney. (Čuveljak 2010.) The common characteristic connecting these contracts is that an internal contractual relationship between the mandatary and the mandator arises from the acceptance of the mandate by the mandatary, and in the performance of the contractual obligations the mandatary enters into external relations with third parties and concludes contracts with them for the mandator's account. (Čuveljak 2010.) By the power of attorney, the mandatary, i.e. the authorised representative on the basis of the power of attorney, which is the authorization for representation, shall be obliged by the mandator, i.e. the principal, to perform certain legal affairs, „on the behalf and for the account“ of the mandator. Representation "on behalf of and for account" of another person means that the legal effects of the legal transaction concerned will relate directly to the principal as if he/she personally made that legal transaction. This kind of representation is called a direct representation. In addition to the "on behalf of and for account" representation of the principal, the mandatary may act "on his/her own behalf and for the account" of the principal. In such a case, it will be an indirect representation, i.e. a commission contract where third parties with whom the mandatary or commission agent enter into legal transaction does not have to know about the internal relationship between the mandator (principal) and the commission agent (mandatary) under which the latter has to transfer all rights and benefits from the concluded legal transaction on the mandator. Accordingly, third parties enter into a legal transaction with a commission agent who act on his/her own behalf without coming into contact with the principal.